Economy of Turkmenistan

On June 28, 2019, a US$1.7 billion factory for producing gasoline out of natural gas was commissioned in Ovadandepe. Built by Rönesans and Kawasaki using technology from Haldor Topsoe, the factory has a design capacity of 600,000 tonnes of gasoline, 12,000 tonnes of diesel fuel, and 115,000 tonnes of liquefied petroleum gas per year, produced from 1.7 billion cubic meters of natural gas. According to opposition media, as of January 2023 the plant had halted production of export-grade ECO-93 gasoline due to a lack of catalyzers, and was producing only lower-quality gasoline for domestic consumption.

Turkmenistan's major oil-producing area is in the west, mainly in Balkan Province, and is part of the South Caspian Basin, an intercontinental depression noted for oil production. Major onshore oil fields include Çeleken, Goñurdepe, Nebitdag, Gumdag, Barsagelmez, Guýujyk. Gyzylgum, Ördekli, Gögerendag, Gamyşlyja, Ekerem, Çekişler, Keýmir, Ekizek, and Bugdaýly.In 2019, capital investment in the oil industry totalled 3.29 billion manats. In January-November 2020, Turkmenistan extracted 8.7 million tonnes of oil and condensate. Production of liquid petroleum gas totalled 231,000 tonnes.Oil production in calendar year 2023 was reported in official state media as 8.3167 million tonnes.

As a crossroads for centuries and part of the Silk Road, Turkmenistan serves as a transit point for cargoes shipped by air, sea, and land. Under normal conditions, Ashgabat International Airport is a stopover and transfer point for air passengers between India (Amritsar and New Delhi) and England (London and Birmingham), as well as between Frankfurt-am-Main and Bangkok.

Tourism is a small industry in Turkmenistan, serving just over 14,000 visitors in 2019. Tourist destinations include World Heritage Sites, museums, and natural sites. Many of its Central Asian cities were main points of trade on the Silk Road, linking Eastern and Western civilizations. Many neighboring countries (including Kazakhstan, Uzbekistan, and Iran) promote their countries based on their location along the Great Silk Road. Tourists from abroad are deterred by the restrictive visa policy regime with all countries of the world. Tourism is regulated by the Tourism Committee of Turkmenistan.

Agriculture in Turkmenistan is a significant sector of the economy, in 2019 contributing 11.7% of the GDP and employing 40% of the workforce. However, only 4% of total land area is cultivated. Because of the arid climate, irrigation is necessary for nearly all cultivated land. The two most significant crops by area planted are wheat (761,300 hectares) and cotton (551,100 hectares).Citrus fruits, dates, figs, melons, pomegranates, olives, and sugarcane are grown in some parts of the country. Sesame and pistachios are also grown in smaller quantities. Although Turkmenistan was formerly the world's 10th largest cotton producer, exports have fallen in recent years. This is due in part to the environmental difficulties of irrigation in a desert environment.Cotton cultivation in Turkmenistan required a large amount of water to be diverted from the Amu Darya river and also introduced a great deal of fertilizer into the river. As a result, cotton cultivation in Turkmenistan is one of the factors causing the drying up of the Aral Sea. A second factor was the 2019 policy decision to halt exports of raw cotton in favor of exporting textiles and ready-made garments.